Virginia puts foot down on counterfeit products

ALEXANDRIA — Virginia consumers and businesses have new safeguards against counterfeit and unsafe products due to successful legislation that will allow persons caught selling the merchandise with a felony. Attorney General, Bob McDonnell, highlighted these new consumer and business protection measures, which took effect July 1.

The new anti-counterfeiting laws will:

Expand the definition of a “mark” to include marks registered with the U.S. Patent and Trademark Office as protected trademarks in Virginia. (Prior to the law, only trademarks registered in Virginia were protected. Most companies register their marks with the USPTO, not with individual states.)

Increase the penalties for trademark infringement from a Class 2 misdemeanor to a Class 1 misdemeanor.

Add two Class 6 felonies if someone infringes on a trademark and possesses 100 or more identical counterfeit registered marks or possesses counterfeit items valued at $200 or more.

Provide that counterfeit items, property and profits used in the substantial connection with trademark infringement can now be seized by law enforcement and forfeited to the Commonwealth.

“These new laws protect Virginia consumers from potentially harmful counterfeit products, while promoting legitimate business in Virginia. Counterfeit products pose a danger to our Commonwealth. Virginia continues to lead the way in protecting our citizens,” said McDonnell.

Counterfeited products have included: automotive brake pads, diabetes test strips, airline mechanical parts, smoke alarms, baby food, prescription drugs, cancer-fighting drugs, surgical mesh, batteries, wine, clothing, shoes, DVDs/CDs, toys, toothpaste and jewelry.

There has been an increase in sophisticated counterfeit operations in Virginia. In 2003, in Hampton Roads, 15 medical patients were implanted with fake surgical mesh.

In May of 2007 Newport News authorities confiscated $1.8 million worth of counterfeit goods from 11 stores. And, earlier this month, Suffolk Police seized over $32,000 in counterfeit goods from a downtown store, including 260 pairs of counterfeit shoes.

— Press release